Chart USD/ZAR Update: Consolidating test of resistance
The anticipated test of the 17.8000-17.8500 resistance is giving way to a pullback
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 18.1525 | ** | 19 Jun (m) high | S1 | 17.6000 | * | congestion | |
| R3 | 18.0000 | ** | congestion | S2 | 17.5000 | * | congestion | |
| R2 | 17.8500 | break level | S3 | 17.4680~ | current year low | |||
| R1 | 17.8000 | * | congestion | S4 | 17.2500 | * | 7 Nov (m) low |
Asterisk denotes strength of level
12:05 BST - The anticipated test of the 17.8000-17.8500 resistance is giving way to a pullback, as overbought intraday studies unwind, with prices currently trading around 17.7550. However, daily stochastics are rising and the daily Tension Indicator is improving, highlighting potential for renewed buying interest above congestion support at 17.6000. Following cautious trade, fresh gains are looked for. A break above 17.8500 will open up congestion around 18.0000. But negative weekly charts should prompt renewed selling interest beneath here. Following corrective trade, fresh losses are looked for. A later close below congestion support at 17.5000 will add weight to sentiment and extend April losses towards the 17.2500 monthly low of 7 November.